Professional Documents
Culture Documents
ACKNOWLEDGEMENT
It is imperative for successful completion of a task to complement those who made that
task work.
I sincerely bow my head and thank the almighty for bestowing his blessings on me. This
is utmost pleasure of mine, to show my heartfelt gratitude to those individuals who have
given their considerate support and guidance. This project would not have been
possible without them.
My sincere regards to my friends who worked with me all through the project and helped
me in the noble accomplishment.
I thank my parents who have always been my driving force to work hard and keep the
learning process continuous and never ending.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
TABLE OF CONTENTS
1. Certificate 2
2. Acknowledgement 3
3 List of tabs 5
4. Abstract/Summary 6
5. INTRODUCTION
Industry 7
Company Background 13
Project Detail 37
6. Research Methodology 38
7. Research Design 39
8. Literature Review 40
9. Chapterisation 45
10. Data Analysis and Interpretation 46
11. Limitations 58
12. Conclusions 58
13. Recommendations 59
14. Bibliography 60
15. Annexures 61
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Punjab State Cooperative Bank- Deposit & Credit Schemes
LIST OF TABS/FIGURES
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Punjab State Cooperative Bank- Deposit & Credit Schemes
SUMMARY
The Cooperative Sector has been playing a significant role in the area of disbursing
agricultural credit, providing market support to farmers, distribution of agricultural inputs
and imparting cooperative education and training etc. The basic objective of the
Cooperation Division is to design long term and short term strategies for reducing
economic disparities between the downtrodden rural people and the rural rich as well as
regional imbalances including rural and urban differences.
In today’s competitive environment where corporates are constantly searching for ways
to keep a float and sustain the market share, they have to find newer and better ways to
satisfy customer needs. To run any organization successfully the management needs to
think always for the betterment of their service and product.
Banking business is now expanding three folds and is facing tough competition. The
Private sector along with the public sector is performing high on scale and ruling the
markets. Adding to the glory, there are foreign banks that have also captured a
commendable market share.
Considering this, the State Cooperative Banks need to take such steps which assist
them in marching ahead in the race and survival of the fittest. This has always been the
motto of Cooperative Banks and in order to achieve this, we are hereby analyzing the
level of satisfaction of PSCB customers and their expectations.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
In simple words, Banking can be defined as the business activity of accepting and
safeguarding money owned by other individuals and entities, and then lending out this
money in order to earn a profit. However, with the passage of time, the activities
covered by banking business have widened and now various other services are also
offered by banks. The Banking services these days include issuance of debit and credit
cards, providing safe custody of valuable items, lockers, ATM services and online
transfer of funds across the country/ world.
WHAT IS A BANK
Bank is a financial institution that undertakes the banking activity that is, it accepts
deposits and then lends same to earn certain profit.
RESERVE
BANK OF INDIA
(APEX BANK)
SCHEDU UNSCHE
LED DULED
BANKS BANKS
COOPERATIVE COMMERCIAL
BANKS BANKS
CENTRAL CO-
OPERATIVE REGIONA
PUBLIC PRIVATE FOREIGN
BANKS L RURAL
SECTOR SECTOR BANKS
BANKS
STATE
COOPERATIVE
BANKS SBI & OTHER
ASSOCIAT NATIONALISE
PRIMARY ES D BANKS
AGRICULTURAL
CREDIT
SOCITIES
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Banking in India originated in the last decades of 18th century. The first banks were The
General Bank OF India, which started in 1786, and Bank of Hindustan, which started in
1790; both are now defunct. The oldest bank which is in existence is the State Bank of
India, which originated from the Bank of Calcutta in June 1806, which almost
immediately became Bank of Bengal. This was one of the three presidency banks, the
other two being the Bank of Bombay and the Bank of Madras, all three of which were
established under the Charters from the British East India Company.
For many years the Presidency Banks acted as quasi-central Banks, as did their
successors. The three banks merged in 1921 to form the Imperial Bank of India, which
upon India’s independence, became State Bank OF India.
Foreign Banks started to arrive, particularly in Calcutta, in the 1860s. The Comptoire
d’Escompte de Paris opened a branch in Calcutta in 1860, and another in Bombay in
1862. Then a French colony followed. HSBC established itself in Bengal in 1869.
Calcutta was the most active trading port in India, mainly due to the British Empire, and
so became a Banking Center.
The period between 1906 and 1911, saw the establishment of banks inspired by the
Swadeshi Movement. It inspired local businessmen and political figures to establish
banks for and of Indian Community. A number of banks established then have survived
to the present such as Bank of India, Corporation Bank, Indian Bank, Bank of Baroda,
Canara Bank and Central Bank of India.
The Reserve Bank of India, India’s central banking authority, was nationalized on
January 1, 1949 under the terms of the Reserve Bank of India (Transfer to Public
Ownership) Act, 1948. In 1949, the Banking Regulation Act also provided that no new
bank or branch of an existing bank could be opened without a license from the RBI.
NATIONALISATION
Despite the provisions, control and regulations of Reserve Bank OF India, banks in
India except SBI, continued to be owned and operated by private persons. By the
1960’s the Indian Banking Industry had become an important tool to facilitate the
development of the Indian Economy. At the same time, it had emerged as a large
employer, and a debate had ensued about the nationalization Of Banking Industry.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
After this, until the 1990s, the nationalized banks grew at a pace of around 4%, closer to
the average growth rate of Indian Economy.
LIBERALISATION
In the early 1990s, the then Narsimha Rao government embarked on a policy of
liberalization, licensing a few number of Private Banks. These came to be known as
New Generation tech-savvy banks, and included Global Trust Bank (the first of such
new generation banks to be set up), which later amalgamated with the Oriental Bank of
Commerce, Axis Bank(earlier as UTI Bank), ICICI Bank and HDFC Bank. This move,
along with the rapid growth in the economy of India, revitalized the banking sector in
India, which has witnessed strong contribution from all the three sectors of Banks,
namely- Government Banks, Private Banks and Foreign Banks.
The next stage of Indian Banking is now being set up with the proposed relaxation in the
norms of Foreign Direct Investment. The Current FDI limit for Public Sector banks
(including SBI) is 20% and for private Banks, the limit is 74% with some restrictions.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
TYPES OF BANKS
The banking industry can be divided into following sectors, based on the clientele
served and products and services offered:
1. Retail Banks
2. Commercial banks
Public Banks
Private Banks
3. Cooperative banks
4. Investment Banks
5. Specialized banks
6. Central banks
Retail Banks:
Retail banks provide basic banking services to individual consumers. Examples include
savings banks, savings and loan associations, and recurring and fixed deposits.
Products and services include safe deposit boxes, checking and savings accounting,
certificates of deposit (CDs), mortgages, personal, consumer and car loans.
Commercial Banks:
Banking means accepting deposits of money from the public for the purpose of lending
or investment. Commercial Banks provide financial services to businesses, including
credit and debit cards, bank accounts, deposits and loans, and secured and unsecured
loans. Due to deregulation, commercial banks are also competing more with investment
banks in money market operations, bond underwriting, and financial advisory work.
Commercial banks in modern capitalist societies act as financial intermediaries, raising
funds from depositors and lending the same funds to borrowers. The depositors’ claims
against the bank, their deposits, are liquid, meaning banks are expected to redeem
deposits on demand, instantly.
Banks’ claims against their borrowers are much less liquid, giving borrowers a much
longer span of time to repay money owed banks. Because a bank cannot immediately
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Punjab State Cooperative Bank- Deposit & Credit Schemes
reclaim money lent to borrowers, it may face bankruptcy if all its depositors show up on
a given day to withdraw all their money.
Public sectors banks are those in which the government has a major stake and they
usually need to emphasize on social objectives than on profitability.
Private sector banks are owned, managed and controlled by private promoters and they
are free to operate as per market forces.
Investment Banks:
Investment banks aid companies in acquiring funds and they provide advice for a wide
range of transactions. These banks also offer financial consulting services to companies
and give advice on mergers and acquisitions and management of public assets.
Cooperative Banks:
Cooperative Banks are governed by the provisions of State Cooperative Societies Act
and meant essentially for providing cheap credit to their members. It is an important
source of rural credit i.e., agricultural financing in India.
Specialized Banks:
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Specialized banks are foreign exchange banks, industrial banks, development banks,
export-import banks catering to specific needs of these unique activities. These banks
provide financial aid to industries, heavy turnkey projects and foreign trade.
Central Banks:
Central banks are bankers’ banks, and these banks trace their history from the Bank of
England. They guarantee stable monetary and financial policy from country to country
and play an important role in the economy of the country. Typical functions include
implementing monetary policy, managing foreign exchange and gold reserves, making
decisions regarding official interest rates, acting as banker to the government and other
banks, and regulating and supervising the banking industry.
These banks buy government debt, have a monopoly on the issuance of paper money,
and often act as a lender of last resort to commercial banks
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Punjab State Cooperative Bank- Deposit & Credit Schemes
COMPANY BACKGROUND
In the beginning of 20th century, availability of credit in India, more particularly in rural
areas, was almost absent. Agricultural and related activities were starved of organized,
institutional credit. The rural folk had to depend entirely on the money lenders, who lent
often at high rate of interest.
Cooperatives have played a vital role in improving the economic conditions of farmers
and accelerating the pace of development in Punjab.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Cooperatives have brought both the services and resources at the doorsteps of villagers
in Punjab. These have been enthusiastically serving the people of Punjab in area such
as agriculture, housing, spinning, sugar production, weaving and dairy etc.
MISSION
Punjab Cooperatives resolve for Greater self-reliance, Administrative efficiency and
structural reforms.
VALUES
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Punjab State Cooperative Bank- Deposit & Credit Schemes
NABARD
CCBs CLDBs
PACS
PLDBs BRANCHES OF
SLDBS
15
Punjab State Cooperative Bank- Deposit & Credit Schemes
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Punjab State Cooperative Bank- Deposit & Credit Schemes
1. Dis-investment from Cooperative Spinning and Sugar Mills merits greater attention
and thrust.
2. Amalgamation and restructuring of Primary Cooperatives whose imbalances are
more than 50%
Liberalisation of Cooperative Marketing.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Convergence of Services
Training Policy
The Cooperatives of Punjab have paid special consideration on the Training of the staff,
for which they have formed a special Training Policy.
Training Institutions
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Milkfed
Markfed
Weavco
Sugarfed
Housefed
Puncofed
Labourfed
Fruitfed
PICT
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Punjab State Cooperative Bank- Deposit & Credit Schemes
In the cooperative Banking structure, the position of the Punjab State Cooperative Bank
is extremely important as the whole credit system revolves around it. It has 19 branches
and 3 extension counter in Chandigarh. There are 20 District Central Cooperative
Banks having 808 branches/extension counters all over Punjab, mostly in rural areas of
the State.
MISSION
Promotion and sustenance of economic interest & providing easy finance, cost effective
and quality banking services to customer & PACs
OBJECTIVES
VISION
Enforce the future challenges with grit and take every possible step for the
development of our institution.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Bank will attract maximum deposit (especially low cost deposit) to strengthen its
financial resources so as to reduce its dependency upon NABARD.
Bank while diversifying its loan portfolio, will provide medium term and long term
loans to the maximum extent.
Every effort will be made to open account of all farmers of the State. Bank will
receive deposit from farmers and meet their credit needs.
Bank, for the sake of development of state, will strive hard to provide maximum
and better services to customers especially farmers and for this wherever
necessary, every effort will be made to modify the schemes.
Bank will prepare its business plan every year and by implementing it , goals set
will be achieved
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Punjab State Cooperative Bank- Deposit & Credit Schemes
22
Punjab State Cooperative Bank- Deposit & Credit Schemes
250
200 PSCB-8
PSCB-10
PSCB-17
PSCB-20
150 PSCB-22
PSCB-27
PSCB-30
PSCB-32
100
PSCB-34
PSCB-35
PSCB-36
PSCB-37
50
PSCB-38
PSCB-40
PSCB-44
PSCB-47
0
2009-10 2009-11 2009-12 PSCB-MM
PSCB-MS
PSCB-RD
PSCB-SECTT
-50
-100
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Punjab State Cooperative Bank- Deposit & Credit Schemes
A saving bank A/c can be opened with an initial deposit of Rs.500/- without
Cheque Book facility and Rs.1000/- with cheque book facility.
Eligible categories to open SB A/c –
Any individual
Joint Account with others in the form of “either or survivor”, Former or Survivor
Minors
Illiterate persons
Blind person
Joint Hindu Family
Cooperative Societies, Clubs, Associations etc.
Only 30 withdrawals are allowed per half year for a savings bank account
exceeding which service charges will be levied.
Maximum limit of withdrawal form is Rs. 20,000/-
The deposit is received by the bank for a specific period which is withdraw able
after expiry of said period.
Eligible categories to open SB A/c –
Any individual
Joint Account with others in the form of “either or survivor”, Former or Survivor
Minors
Illiterate persons
Blind person
Joint Hindu Family
Cooperative Societies, Clubs, Associations etc.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
The terms and conditions regarding rate of interest and time period are
determined by bank from time to time.
It can be opened with certain initial deposit wherein a Depositor needs to deposit
money by way of monthly installments over a stipulated period.
The period may be 2, 24, 36, 48, 60 months etc.
On the expiry of the period, the accumulated amount along with interest is paid in
lumpsum.
All the parties are eligible for this account
The rate of interest applicable on recurring deposit will be the rate of interest
applicable on term deposit for that period
Minimum monthly installment for this account is Rs.100/-.
Maximum period is 10 years
5. Current A/c
Sole Proprietorship
Partnership firm
Club/Association
Religious institution
Government/Semi-Govt
Local bodies
6. Locker A/c
Facility of locker is available in four different sizes viz. small, medium, large and
extra large.
A prospective buyer who wants the locker facility has to have a Saving Bank
account with the bank so that annual Locker Rent can be Debited from that
Account
Lockers can be hired in individual capacity or jointly with others.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
TARGET FOR TERM DEPOSITS FOR THR FINANCIAL YEAR APRIL 2013-MARCH
2014
100%
90%
80%
70% 30.03.2014
60% 30.12.2013
50% 30.09.2013
40% 30.06.2013
30%
20%
10%
0%
PSCB PSCB-MM
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Punjab State Cooperative Bank- Deposit & Credit Schemes
8. Term Deposit
A/c 180 <1 year 7.75% 8.25%
9. Term Deposit
A/c 1year <2years 8.75% 9.25%
10. Recurring
Deposit A/c - - 4.00% 4.00%
11. Current A/c - - 0 0
12. Locker A/c - - 0 0
13. Term Deposit
A/c 2 years 3 years 8.50% 9.00%
14. Term Deposit
A/c 3 years And above 8.50% 9.00%
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Loan Amount Maximum amount up-to Rs. 10.00 Lac or 80% of cost of vehicle
Rate of Interest 11.5%
Margin 20%
Repayment Period Maximum 5 years
Collateral Security 2 good sureties as per the satisfaction of the bank besides the
hypothecation of the vehicle
Installment Rs. 2174.00 for 5 years
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Punjab State Cooperative Bank- Deposit & Credit Schemes
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Collateral Security
Installment Rs. 2061.00 for 6 years
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Punjab State Cooperative Bank- Deposit & Credit Schemes
TARGET FOR LOANS FOR THE FINANCIAL YEAR APRIL 2013-MARCH 2014
(Figure in Lakhs)
5000
4500
4000
3500
3000
2500 PSCB- MM
PSCB-TOTAL
2000
1500
1000
500
0
CONSUMER PERSONAL HOUSING VEHICLE EDUCATION
LOAN LOAN LOAN LOAN LOAN
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Punjab State Cooperative Bank- Deposit & Credit Schemes
FINACLE SOFTWARE
Finacle core banking solutions is a comprehensive, integrated, yet modular and agile
business solution, addressing all the core needs of banks, in easy-to-configure
modules. Finacle provides all building blocks of business functionality, enabling users to
configure products and processes flexibly in order to adapt to a dynamic environment.
With a 360 degree single source view into customer accounts, banks can empower
customers with relevant information and delight them with the right offerings, presented
at the right time through the right channel.
GENERAL USER – This user group performs the regular banking and front office
functions. Example – Opening of accounts, creation and verification of financial
items.
SYSTEM OPERATORS – This group is in charge of executing system related
functions such as data backup and data restore.
DATA BASE ADMINISTRATOR – These are responsible for up keeping and
maintaining database. They prepare various reports for the use of general users.
INSPECTION AUDIT – This group performs routine audit in banks
These user groups have been divided on the basis of kind of banking operations they
perform. In order to use the software the user groups are required to login through their
unique Id’s and passwords.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
FINACLE USES
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Punjab State Cooperative Bank- Deposit & Credit Schemes
PSCB – SANGRUR
Pscb- Sangrur was formed in 1952 and is located in centre of the city and is easily
accessible to all the business and Service class working in the Sangrur township.
7000
6000
5000
4000
DEPOSITS
3000 LOANS
2000
1000
0
2010 2011 2012
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Punjab State Cooperative Bank- Deposit & Credit Schemes
4
AVERAGE CASH IN HAND
3
0
31/03/2010 31/03/2011 31/03/2012
35
Punjab State Cooperative Bank- Deposit & Credit Schemes
700
600
500
200
100
0
2010 2011 2012
500
400
100
0
2010 2011 2012
36
Punjab State Cooperative Bank- Deposit & Credit Schemes
PROJECT DETAILS
In today’s competitive environment where corporates are constantly searching for ways
to keep a float and sustain the market share, they have to find newer and better ways to
satisfy customer needs. To run any organization successfully the management needs to
think always for the betterment of their service and product.
Banking business is now expanding three folds and is facing tough competition. The
Private sector along with the public sector is performing high on scale and ruling the
markets. Adding to the glory, there are foreign banks that have also captured a
commendable market share.
Considering this, the State Cooperative Banks need to take such steps which assist
them in marching ahead in the race and survival of the fittest. This has always been the
motto of Cooperative Banks and in order to achieve this, we are hereby analyzing the
level of satisfaction of PSCB customers and their expectations.
RATIONALE OF STUDY
The Object here is to enhance my knowledge in Banking Industry. The proposed project
is a window giving me a view into gigantic and comprehensive Banking Industry. The
PSCB Schemes are chosen as the Project Topic because the Bank’s Cooperative credit
and deposits business is expanding day by day, and it contributes maximum in the
Rural Banking Industry. Apart from its pertinence and performance, the cooperative
banking measures to solutions and roads to its advancement will be discussed in this
project.
OBJECTIVES OF STUDY
To Study some of the Schemes of Punjab State Co-operative Bank in detail and idea of
To find out main obstacles while availing different schemes under PSCB.
37
Punjab State Cooperative Bank- Deposit & Credit Schemes
Brief idea about the benefits available to Punjab State Co-operative Societies
Recent Development in Market and Punjab State Co-operative Bank in the field of
To study the different facilities offered by the Punjab state cooperative bank.
It provides empirical data for policy makers that are assisted towards formulating
appropriate policy environment for the operations of Punjab State Cooperative Bank.
The study is also of significance to future researchers as literature review, and further
provoked research in the area of lending and portfolio management.
RESEARCH METHODOLOGY
RESEARCH PROBLEM
Measuring the level of satisfaction prevailing among customers and their expectations in
context with PSCB’s schemes.
RESEARCH DESIGN
Research deign is exploratory and descriptive which helps me to explore the factors
influencing the perception of customers.
SAMPLING DESIGN
SAMPLE SIZE – The sample size is 20 that include local customers that
regularly visit the bank.
DATA COLLECTION
38
Punjab State Cooperative Bank- Deposit & Credit Schemes
Both primary and secondary data have been collected for meeting the objectives of
current study.
For the purpose of collection of primary data, personal interview of the respondents
was conducted. An unbiased, undisguised structured questionnaire was prepared which
was administered to respondants for the purpose of getting the information. The
questionnaire consist questions covering both deposits and loan schemes.
For the purpose of secondary data, secondary sources of information like magazines,
newspapers, journals, studies conducted in past, have been referred. The main sources
of secondary data in the study are:
1. Bank’s Detail Books
2. Bank’s website
RESEARCH INSTRUMENT
ANALYSIS TECHNIQUE
The questionnaire is having alternative choices. Analysis has been done with help of
charts, bar graphs, pie charts, likert scaling and co-relation.
SCOPE OF STUDY
The scope of study is limited to customers visiting Punjab State Cooperative Bank,
Sangrur. Present study has been restricted to time period from June 2013 to July
2013.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
LITERATURE REVIEW
The Cooperative Sector has been playing a significant role in the area of disbursing
agricultural credit, providing market support to farmers, distribution of agricultural inputs
and imparting cooperative education and training etc. The basic objective of the
Cooperation Division is to design long term and short term strategies for reducing
economic disparities between the downtrodden rural people and the rural rich as well as
regional imbalances including rural and urban differences.
It much is admitted that though co-operative movement in India has not indeed
succeeded in curing all the economic and social evils, yet it has no doubt, led to some
beneficial results.
BENEFICIAL RESULTS:
2) Social benefit:
Co operation constitutes an admirable means of popular social improvement. It tends to
check the petty quarrels and bitterness of village life and binds together men into
friendly relationship.
4) Welfare Activities:
Some societies have made liberal contribution towards various charitable and pubic
purposes. It has also provided scholarships and aids for higher studies, research works.
In this way the co-operative societies have promoted welfare activities.
DEFINITION OF LOAN
40
Punjab State Cooperative Bank- Deposit & Credit Schemes
interest, at some future point(s) in time. Usually, there is a predetermined time for
repaying a loan, and generally the lender has to bear the risk that the borrower may not
repay a loan (though modern markets have developed many ways of managing this
risk).
Everyone needs money at every stage of their life. Sometimes it so happens that they
have keen desire to purchase their favorite stuff but they are incapable to purchase due
to shortage of money. Here lies a question that a person who does not have a good
amount of money at particular time has no right to see dreams? Is he not authorized to
fulfill his desires on time? Should he stop dreaming? No, because there is solution for
these queries. Loans are available for these purposes only. Loans are provided to
people for such critical circumstances which may occur at anytime. In anyone's life a
situation may come when all of sudden you require cash. A moment when you do not
want to borrow cash from your relatives. There may occur any kind of emergency when
you need huge amount of money. There are various types of loans like home loans,
personal loans, student loan, business loan etc. You can take any type of loan you
need. For each and every kind of need, loans are available. Home loans are available
for general home purposes like buying a luxurious car, going for a holiday trip,
educational purpose, home improvement etc. Many of your desires can be fulfilled by
this loan. Personal loans are available for personal requirements like
wedding ceremony, purchasing a home etc. Student loan as it itself suggest is that it is
provided basically to students for higher education. Students who want to study more
but cannot afford can get apply for such loans and continue their studies. To start a new
business you require a huge amount of money. A person willing to setup a business
may not have that much cash which can meet out his requirements. For this business
loans are available. You can get business loans to start and well establish a
new business in market. Whatever may be the kind of loan, all have full
fledged facilities. All kind of loans have their own importance. Above all, need of money
explains the importance of loan. Appling for loan is very easy. Apply for that loan
whichever is needed to you. But before applying you should go through different
lender's policies and apply for that lender which is beneficial for you. Different lenders
have different policies. If you get loan for long term with low rate of interest then it is
beneficial for you. Due to competition, lenders are trying their best to attract people by
providing different schemes which in turn is good for people. And cooperative bank is
also one of them.
WHAT IS A PROCEDURE?
41
Punjab State Cooperative Bank- Deposit & Credit Schemes
that when undertaken in the sequence laid down produces the described result, product
or outcome. A procedure usually induces a change.
One of the worst case scenarios of office problems involves a very important job that
cannot be completed by the support of staff because of a lack of information on
procedures. Nearly every company prepares job descriptions, but most neglect efficient,
exact and up-to-date procedures manuals. A job description entails. A procedures
manual gives a detailed and informative guide to how the job is done and enables
someone to do the job in an emergency. Henrik Ibsen once said, "A community is like a
ship; everyone ought to be prepared to take the helm." Likewise, an office - people
should be able to pitch in and get the job done. This is possible only if they are
provided with the proper instructions and materials. Every job entails a certain
sequence of paperwork, routine tasks and contacts. For example, someone might be in
charge of travel arrangements. A job description would state that the job entails making
both domestic and foreign travel arrangements and processing invoices for this. A
procedures manual would give the names and phone numbers of various travel
agencies used for the firm, the best people to contact, how to process the invoices by
explaining the forms and what department handles them. If the person in charge of
travel arrangements is out of the office, someone else can open the procedures manual
and follow the directions to do the job. Managers should see that every support staff
employee in his or her department prepares a procedures manual for each job. At the
beginning, the manager should meet with each employee individually and discuss the
preparation of the manual so that its function is fully understood. An outline of what is
expected should be prepared and given to each employee to follow.
1. What - A description of the task.
2. When - How often it is done.
3. Who - What people are involved in completing the task.
4. How To - Sequence of steps to complete the job. Phone numbers, addresses, chain
of command, forms or materials needed (and where they are kept), potential problems
and solutions based on experience. If office machines are involved (computers
or word processors), a description of how they are operated for this particular job
(i.e. if disks are used, where information is stored, how to retrieve the information,
electronic mail, etc.). If a computer sequence is followed to complete forms or reports
for the task, copies of each screen used should be made and placed in the procedures
manual in the proper order. A "dummy" of each page should be filled out so that it can
be easily followed.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
Rate of Interest As decided by the Bank from time to time with quarterly rests.
Application Form
Latest Photographs
Bank account statements
Proof of Income
Employer certificate of identity Proof of continuity of current Job.
Proof of Residence
Demand Pronote
Agreement (NJ Stamp Paper for Rs.15/-)
Signature verification (By Branch Manager)
Post Dated Cheques
Two guarantors (NJ Stamp Paper for Rs.15 in each case)
43
Punjab State Cooperative Bank- Deposit & Credit Schemes
DEFINATION OF DEPOSITS
In deposit terminology, the term- Bank Deposit refers to an amount of money in cash or
check form or sent via wire transfer that is placed into a bank account. The target
account for the Bank deposit can be any kind of account that accepts deposits.
For example, a Bank Deposit is generally made when opening an account or in the
course of routine business or personal transactions that involve placing funds with the
bank for future use. Bank deposits can be made in a number of different ways. The
most direct way is to walk into a bank or a bank branch in which you hold an account.
You are then usually required to fill in a Bank Deposit slip with the particulars of your
account and the amount of money you wish to deposit. In addition, Bank Deposits can
be made via wire transfer, as well as through a direct deposit plan from employers in
many cases.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
CHAPTERISATION
CHAPTER 1 – INTRODUCTION
CHATER 4 – CONCLUSION
A. Limitations
B. Recommendations
C. Recommendations
CHAPTER 5 – ANNEXURES
A. Questionnaire
B. Comparison of loan Interest Rates of different Banks
C. Comparison of Deposit Interest Rates
45
Punjab State Cooperative Bank- Deposit & Credit Schemes
GENDER CLASSIFICATION
10
0 Gender Classification
46
Punjab State Cooperative Bank- Deposit & Credit Schemes
MONTHLY INCOME
5
4.5
4
3.5
3
2.5
2 FEMALE
1.5
1 MALE
0.5 FIRMS FIRMS
0
MALE
FEMALE
Out of the Female Group, 2 respondants had nil income because one of them is
a housewife and the other is student.
The male respondants are maximum in high income group that is between
Rs.30,000 to 40,000.
Maximum firms fall in high income group.
PSCB deposit schemes are also available to those who have poor or nil income.
The primary purpose of this class people is to save whatever money they can
afford to and earn good amount of interests on that.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
OCCUPATION
10
9
8
7
6 Business
5 Employement
4
3
2
1
0
Loans Borrowers Depositors
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Punjab State Cooperative Bank- Deposit & Credit Schemes
TYPES OF ACCOUNTS
5 Personal Loan
Consumer loan
4
Savings Account
3 Current Account
0
Loans Deposits
In loan Schemes, personal loan and consumer loan are more prevalent in
Manimajra branch.
In Deposits, customers of two schemes have been covered that is Savings
Account and Current Account.
Apart from above mentioned deposit schemes- Recurring Deposits , Savings –
No frill and Fixed Deposits accounts are also available with the bank.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
NO. OF CUSTOMERS
Personal Visit
Advertisement
Word Of Mouth
Other
Most of Customers come to know about the bank by visiting them personally.
Cooperative Banks are lacking in the field of marketing and have no as such
established marketing infrastructure.
It does not pay much heed to advertisement.
The employees of bank are very co-operative. They explain the various schemes
to customers and their explanation is conducive to the need of customers.
Word of mouth is also a source of information.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
No. Of Customers
12
10
No. Of Customers
4
0
Purchase of Purchase of Education of Marriage of Savings
Property Consumer children children
goods
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Punjab State Cooperative Bank- Deposit & Credit Schemes
3 Loans
Deposits
2
0
Faster Interest Rates Brand Image Margin Amount Others
Processing
Around 50% of customers from both deposits and loan schemes believe that
bank has a very fast processing rate.
Following with the conclusion that Bank’s customer dealing is quiet effective and
efficient.
30% got attracted with the Interest rates offered by bank.
It was observed that the interest rate of Personal Loan scheme was
comparatively less than some private banks.
The bank as such has no Brand image like other public and private banks in the
market, but the bank is famous among the rural folks and is rightly called as the
“SAHKARI BANK”.
The bank does offer some margin amount in its schemes which again works in
favor of the bank and customers.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
COR-RELATION ANALYSIS
Correlation analysis attempts to determine the degree and direction of relationship
between the two variables. If two or more variables vary in sympathy so that the
movements in one variable tend to be accompanied by corresponding movement in the
other, then they are said to be correlated.
INDEPENDENT
VARIABLE
(QUALITY
SERVICES)
INDEPENDENT
INDEPENDENT
VARIABLE
VARIABLE (RATE
(EMPLOYEE
OF INTEREST)
BEHAVIOUR)
DEPENDENT
VARIABLE
(CUSTOMER
SATISFACTIO
N)
INDEPENDENT VARIABLES
EMPLOYEE BEHAVIOR: Employees are key stakeholders in the value delivery
and brand/supplier success. It is believed that employee commitment and
advocacy behavior have a direct and profound relationship with the customer
loyalty and corporate sales and profitability.
SERVICE QUALITY: The banks need to understand that the customers will be
loyal only if they receive greater value then competitors. This variable is widely
used to evaluate the performance of employees.
RATE OF INTERESTS: An interest rate is the rate at which interest is paid by
borrowers for the use of money that they borrow from a lender.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
DEPENDENT VARIABLE
RESEARCH QUESTIONS
Q1. Does service quality effect customer satisfaction in the context of PSCB?
Q2. Does employee behavior affect the satisfaction level?
Q3. Do the interest rates motivate customers to transact with PSCB?
In the questionnaire, the respondants were asked to score the variables out of five.
These scores were taken to be the quantitative values of variables for the purpose of
calculation of correlation coefficient.
According to the Spearman correlation coefficient the relation between the customer
satisfaction and other three variables is 0.24 which shows moderate degree of positive
correlation.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
EXPECTATIONS OF CUSTOMERS
E-BANKING
No Of Customers
YES
NO
4 12 CANT SAY
60% of customers believe that the bank needs now to activate internet banking.
20% say they are comfortable in manual transactions
20% are not aware of the concept.
The customers of PSCB are not regular users of e- banking, and it might become
difficult for few non users of technology to cope up with the change if it is
introduced.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
No of Customers
YES
NO
The bank does not provide any special facilities to its regular visitors and loyal
customers.
However, this practice can prove to be fatal in wake of the uprising competition .
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Punjab State Cooperative Bank- Deposit & Credit Schemes
800
700
600
500
MM Branch
400
Head Office
Pscb total
300
200
100
0
2009-10 2010-11 2011-12
-100
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Punjab State Cooperative Bank- Deposit & Credit Schemes
LIMITATIONS
The findings of the study are based on the expressed opinion of the respondents.
Some respondents were hesitant in providing complete information.
Difficulty was faced in getting the responses to various questions because the
customers could not devote enough time.
There was communication problem also as some of the customers belong to
rural class so they could not understand the questionnaire easily.
This study only relates to one organization, so conclusions drawn may not be
finding its utility in all the other banks.
Even the employees of the bank were hesitated to give the complete and
accurate data.
CONCLUSION
The project was undertaken to analyze and measure the level of satisfaction prevailing
among customers and the expectations in context with Punjab State Co-operative
Bank’s schemes.
The study concludes that the dealing of bank with the customers is quite effective and
efficient which is the most important element of marketing in today’s scenario.
As per the study it was observed that the bank has very and efficient processing system
in relation to its both loan and deposit schemes.
Most of the customers get attracted with the PSCB as the interest rates offered by the
bank is comparatively more in relation to other public and private banks.
Also the bank offers some margin amount in its schemes which again works in favor of
customers as well as the bank.
As such the bank has no brand image like other public and private banks in the market,
but the PSCB is famous among the rural folks and is rightly called as “SAHAKARI
BANK”.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
RECOMMENDATIONS
In today’s world most of the banks provides ATM facility. So to meet the
competition in the market Punjab State Co-operative Bank should also provide
the ATM facility.
Bank should refocus on its interest rate as responded by people. Periodic Review
of the interest rate should be done.
There should be computerized system in the bank as it will reduce the time
wastage of manual work and will lead to the better performance of the bank.
Training of the employees should be there to meet the needs of the time.
More mass awareness campaigns should be organized in order to enhance
market share of bank. So bank should concentrate on its advertisement itself.
Rate of interest should be re viewed periodically.
If the interest rate has been reduced or has become non- favorable to the
customer, the bank should inform him/her.
There should be complaint boxes installed in the banks that should be opened
weekly and proper redressal of complaints should done.
Maximum practical exposure should be provided to the job trainees so that they
may handle the various enquiries of customer efficiency.
Communication gap within the bank and with the head office should be reduced.
Better infrastructure facilities should be provided to the PSCB Sangrur.
Banks are advised to have proper internal control measures for monitoring its
functions and transactions.
PSCB should open new branches in the rural and urban areas to achieve the
targets.
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Punjab State Cooperative Bank- Deposit & Credit Schemes
BIBLIOGRAPHY
Banking & Insurance – R.K.Sharma & Shashi.K.Gupta
PSCB – Directory
http://www.punjabcooperation.gov.in/html/aboutus.html
http://pscb.in/welcome.htm
http://www.sify.com/finance/compare_interest_rates/
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